kwillia
n/a
Well, in that case I vote you take the entire 5k and invest it in Maryland Lottery Scratch offs. Take those winnings and buy yourself a NEW car AND a laptop!
Suppose You Had Money Saved
- Thread starter DEEKAYPEE8569
- Start date
DEEKAYPEE8569
Well-Known Member
Well, in that case I vote you take the entire 5k and invest it in Maryland Lottery Scratch offs. Take those winnings and buy yourself a NEW car AND a laptop!
Always thinkin', huh K?
Hmmm.....
Chasey_Lane
Salt Life
Interest rates on both new and used cars are low. I wouldn't put any money down on a new vehicle and I would buy something with a payment I'm comfortable with.
aps45819
24/7 Single Dad
Is anyone ever really "stranded" anymore? Carry a cell and and have roadside assistance on your insurance and the worst is "inconvenienced"
I look good driving to the unemployment office
It actually gets better mileage than my other car
cricketmd
Member
That was funny... sorry! 
:
ProfMoneyWise
Member
Being able to afford something should refer to the cost of the item not the payment amount.
My tweet today is: Are you earning a living or a payment.
Be debt-free
Have a fully funded emergency fund of 3 - 6 months living expenses in a not to be touched, safe, non-investment account. I like 6 months . . . or more . . . and yes just sitting there in case.
Be investing a minimum of 15% of your gross income in retirement.
In your case I would set-aside $1,000 in a car maintenance fund also. This would be separate from the emergency fund. Emergency funds are for things that are surprises. Cars breaking down are not surprises.
I truly believe that until one is debt-free (except for a sensible mortgage) and has a fully funded emergency fund that one is not doing nearly as good as they think they are.
My tweet today is: Are you earning a living or a payment.
Be debt-free
Have a fully funded emergency fund of 3 - 6 months living expenses in a not to be touched, safe, non-investment account. I like 6 months . . . or more . . . and yes just sitting there in case.
Be investing a minimum of 15% of your gross income in retirement.
In your case I would set-aside $1,000 in a car maintenance fund also. This would be separate from the emergency fund. Emergency funds are for things that are surprises. Cars breaking down are not surprises.
I truly believe that until one is debt-free (except for a sensible mortgage) and has a fully funded emergency fund that one is not doing nearly as good as they think they are.
DEEKAYPEE8569
Well-Known Member
True, many banks are now offering rates like 2.75% for 48 months "up to 100% of vehicle price," but isn't is smart to put something down for a down payment so as not to finance the whole thing?
What would a "comfortable" payment be to you?
No
Just curious
DEEKAYPEE8569
Well-Known Member
ProfMoneyWise
Member
True, many banks are now offering rates like 2.75% for 48 months "up to 100% of vehicle price," but isn't is smart to put something down for a down payment so as not to finance the whole thing?
What would a "comfortable" payment be to you?
No
100% may not be comfortable and that should be a sign.
To take possession of an item using credit is to agree to pay more than is being asked. On what level does this make sense?
Avoid being jolted awake by an alarm to put on rented clothes to drive someone elses car to a job that must be had to have to make money to turn around and have to give it to others for things you already did.
Chasey_Lane
Salt Life
True, many banks are now offering rates like 2.75% for 48 months "up to 100% of vehicle price," but isn't is smart to put something down for a down payment so as not to finance the whole thing?
What would a "comfortable" payment be to you?
No
My comfortable car payment is probably different from yours and it really doesn't matter. YOU have to write the check each month. If you feel it's important to put money down on a vehicle, by all means do so. You'll drop your payment roughly $15 for every $1k you put down.
struggler44
A Salute to all on Watch
True, many banks are now offering rates like 2.75% for 48 months "up to 100% of vehicle price," but isn't is smart to put something down for a down payment so as not to finance the whole thing?
What would a "comfortable" payment be to you?
No
You thought about buying a used car outright? I bought a 2003 for 2k, dumped about 1k into it and been driving it for the last year and have no payments. Thought about buying new but realized when I got divorced that this "no payment thing" works and I didn't want to be tied to a vehicle payment for 4 or 5 yrs. Save up a few $$ and think about used from a private party.....If I'm lucky I will be driving this car for years to come
itsbob
I bowl overhand
What I am doing now..
2002 Nissan .. couple grand, plus a lot of work..
It's getting inspected now.
aps45819
24/7 Single Dad
Bet that learned ya; should have bought a Z06, not a Miata.
The MX-5 is an awesome car to drive. It's as fun as the bike and the only safety gear I need is sunscreen
itsbob
I bowl overhand
My comfortable car payment is probably different from yours and it really doesn't matter. YOU have to write the check each month. If you feel it's important to put money down on a vehicle, by all means do so. You'll drop your payment roughly $15 for every $1k you put down.
BUT for every $1000 you put down you save about $200 in interest payments over the life of the loan...
Every $1000 you borrow you pay back >$1200..
Trade it in at the end of the loan, you won't even make back the money you paid in interest.
Chasey_Lane
Salt Life
R
rhenderson
Guest
If you feel you really need a more reliable car, spend a couple of thousand and buy used outright. Put the $428 a month you would be making in payments in savings. One year - you'll have over $5K - 2 years and its $10K. Sell your "new" clunker (you'll possibly get almost what you paid for it) take a few more thousand out of the $5K or $10K and repeat the process. Depending on your self discipline in 5 years you be able to buy decent used cars outright. No interest - no payments.
The first post mentioned a $428 payment for 4 years -That's $19,776 - plus the $5K down makes over $24K out of your lifetime earnings.
The first post mentioned a $428 payment for 4 years -That's $19,776 - plus the $5K down makes over $24K out of your lifetime earnings.
struggler44
A Salute to all on Watch
What I am doing now..
2002 Nissan .. couple grand, plus a lot of work..
It's getting inspected now.
My BIL hooked me up with a Crown Vic, gets 24mpg, runs like a top and most traffic moves over when they see the black grill coming up on them, that or they totally lock down and go 55mph. Love the car and definitely was the right move. Had to do some work as well to get it through inspection but after driving it, i would've paid 5k and still feel like it would have been a deal.
